In October 2023, the Bitcoin network's hashrate reached an unprecedented 769.8 EH/s, highlighting the increased security of the blockchain network. This article explores the reasons for the increase, its impact on mining costs, and potential future scenarios.

Growth of Hashrate and Its Causes

Since 2021, the Bitcoin network's hashrate has shown consistent growth, mainly due to advancements in mining technology, including the emergence of application-specific integrated circuits (ASICs), according to BitInfoCharts.

Impact on Mining Costs

The rising hashrate also indicates increased costs for mining a single Bitcoin, which is currently valued at $68,289.

Challenges and Future Prospects

The forthcoming 2024 Bitcoin halving event adds further complexities. The reduction in block rewards, combined with the escalating hashrate, could lead to consolidation among smaller mining operations. Future developments include the expected increase in Bitcoin ETF liquidity following SEC's approval of options, as noted by QCP.

The achievement of a new peak in Bitcoin network's hashrate underscores the enhancement of network security and reflects the increased costs for miners. The upcoming block reward halving will initiate a new era in mining, bringing significant market changes.